Income Tax Assessment Act 1936
View history note
Hide history noteDiv 10B repealed by No 164 of 2007, s 3 and Sch 10 item 41, effective 1 July 2010.
Div 10B inserted by No 101 of 1956.
(Repealed by No 164 of 2007)
S 124PA repealed by No 164 of 2007, s 3 and Sch 10 item 41, effective 1 July 2010. S 124PA formerly read:
S 124PA(1A) inserted by No 169 of 1999. This section applies to the disposal of a unit of industrial property by a taxpayer (in this section called the
transferor
) to another taxpayer (in this section called the
transferee
) if:
SECTION 124PA ROLL-OVER RELIEF
124PA(1A)
This section does not apply in respect of a disposal in respect of which Subdivision
170-D
of the
Income Tax Assessment Act 1997
applies.
124PA(1)
Roll-over relief where CGT roll-over relief allowed.
(a)
(Repealed by No 46 of 1998)
(b)
subject to subsection (6), deductions have been allowed or are allowable under this Division to the transferor in respect of the unit; and
(c)
no part of the cost of the unit to the transferor is attributable to expenditure covered by subsection
124K(2A)
or
124KA
(1); and
(d)
the disposal involves a CGT event; and
(e)
the conditions in an item in the table are satisfied.
CGT roll-overs that qualify transferor for relief
Item
Type of CGT roll-over
Conditions
1
Disposal of asset to wholly-owned company
There is a roll-over under Subdivision 122-A of the
Income Tax Assessment Act 1997
for the CGT event.
.
2
Disposal of asset by partnership to wholly-owned company
The transferor is a partnership, the unit is partnership property, and there is a roll-over under Subdivision 122-B of the
Income Tax Assessment Act 1997
for the disposal by the partners of the CGT assets consisting of their interests in the unit.
.
3
Marriage or relationship breakdown
There is a roll-over under Subdivision 126-A of the
Income Tax Assessment Act 1997
for the CGT event.
.
4
Disposal of asset to another member of the same wholly-owned group
There is a roll-over under Subdivision 126-B of the
Income Tax Assessment Act 1997
for the CGT event.
S 124PA(1) amended by No 144 of 2008, s 3 and Sch 14 item 30, by inserting " or relationship " after " Marriage " in table item 3, applicable in relation to the 2009-2010 year of income and later years of income.
S 124PA(1) amended by No 46 of 1998 and No 224 of 1992.
124PA(2) Roll-over relief where joint election made under section 124W .
This section also applies if a joint election for roll-over relief is made under subsection 124W(3) by both the transferor and the transferee referred to in that subsection in relation to the disposal of a unit of industrial property.
124PA(3) No balancing charges or deductions.
Sections 124N and 124P (which deal with balancing charges and deductions) do not apply to the disposal of the unit by the transferor.
124PA(4) Transferee to inherit certain characteristics from transferor.
This Division applies as if:
(a) the cost of the unit of industrial property in relation to the transferee were equal to the residual value of the unit in relation to the transferor immediately before the disposal; and
(b) the effective life of the unit of industrial property determined in relation to the transferor immediately before the disposal under section 124UA were the effective life of the unit of industrial property in relation to the transferee; and
(c) if the transferor had not made an election under section 124UA in relation to the unit of industrial property - the transferee were not entitled to make an election under that section in relation to the unit.
S 124PA(4) amended by No 147 of 2005.
124PA(5) Disposal by transferee where no roll-over relief - inheritance of deductions.
If:
(a) the transferee disposes of the unit of industrial property; and
(b) this section does not apply to the disposal;
then, for the purposes of the application of subsection 124P(3) in relation to the disposal:
(c) the total of:
(i) the deductions allowed or allowable to the transferor under this Division in relation to the unit; and
are taken to have been deductions allowed or allowable to the transferee under this Division in relation to the unit; and
(ii) if there have been 2 or more prior successive applications of this section - the deductions allowed or allowable to the prior successive transferors under this Division in relation to the unit;
(d) the total of:
(i) the amounts included in the transferor's assessable income under section 124P in relation to the unit; and
are taken to have been included in the transferee's assessable income under that section in relation to the unit.
(ii) if there have been 2 or more prior successive applications of this section - the amounts included in the prior successive transferors ' assessable incomes under that section in relation to the unit;
124PA(6) Second or subsequent application of section - paragraph (1)(b) does not apply.
If, apart from this subsection, this section has applied to the disposal of the unit to the transferee, then, in working out whether this section applies to a subsequent disposal of the unit by:
(a) the transferee; or
(b) one or more subsequent successive transferees;
this section has effect as if paragraph (1)(b) (which deals with deductions) had not been enacted.
S 124PA(6) inserted by No 224 of 1992.
S 124PA inserted by No 35 of 1992.